Lionhead boss and Microsoft Game Studios Europe director Peter Molyneux has revealed on the Engadget Show that Fable 3 will not ship with any Kinect functionality, despite past confirmations to the contrary. Joystiq spoke with Molyneux following his appearance on the show and learned that some form of Kinect content is planned post-launch, and that whatever was initially planned to be built into the game just wasn't up to snuff.

We've spoken with Microsoft PR, which was unaware of Molyneux's exact comments. It reaffirmed that the legendary designer is a strong proponent of Kinect, and has spoken of its use in Fable 3 before, but also told us that it can't discuss what role the hardware will play in the game "at this time."

Look for our full interview with Peter Molyneux tomorrow morning, August 5.

[Thanks, Blacked Out]